Modern Healthcare

▪ More than 1,000 employers, insurers, unions and other organizati­ons

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last week urged Senate leaders to scrap a controvers­ial tax on expensive employer-sponsored health plans that's set to go into effect in 2022. In a letter to Senate Majority Leader Mitch McConnell and Minority Leader Chuck Schumer, the organizati­ons warned that the failure to repeal the so-called “Cadillac tax” would lead workers to pay more for medical treatment and face narrower provider networks. Built into the Affordable Care Act, employers would be hit with a 40% excise tax for health plans that exceed certain thresholds. According to the National Business Group on Health's most recent survey of large employers, 73% of employers would have at least one health plan that triggers the tax in 2022 and 94% would in 2026.

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